TABLE 3. AVERAGE NET RETURNS, MARGIN ACCOUNTS, OVER AND UNDER HEDGES AND SUPPORTING STATISTICS FOR PREHARVEST MARKETING STRATEGIES AND A NAIVE HARVEST CASH MAREKTING STRATEGY: IOWA AND OHIO SOYBEAN DATA
Strategies State & grain Months or years Net Return t - test Probability

 

 

 

Mean Std dev CV

 

 

 

 

 

($) ($) %

 

 

Hedge I Ohio Soy Feb or May

59868

11173

0.1866

1.0994

0.2861

Hedge I Iowa Soy Feb or May

80233

25000

0.3116

1.1400

0.2692

Hedge II Ohio Soy Feb or July

61655

14518

0.2355

1.7215

0.1023

Hedge II Iowa Soy Feb or July

82104

28044

0.3416

1.7642

0.0947

 

 

 

 

 

 

 

 

8020 put/hedge

 

 

 

 

 

 

 

Mixed Hedge Put I

Ohio Soy

 

53250

12233

0.2297

0.5595

0.5861

Mixed Hedge Put I

Iowa Soy

 

73619

30795

0.4185

0.5595

0.5861

 

 

 

 

 

 

 

 

8020 put/hedge with Feb short hedge

 

 

 

 

 

 

Mixed Hedge Put II

Ohio Soy

 

56057

11745

0.2095

1.2510

0.2348

Mixed Hedge Put II

Iowa Soy

 

76411

31077

0.4067

1.1757

0.2625

 

 

 

 

 

 

 

 

Synthetic put

 

 

 

 

 

 

 

Synthetic IV

Ohio Soy

h/july call

59280

11318

0.1909

3.0720

0.0097

Synthetic IV

Iowa Soy

h/july call

80046

32757

0.4092

2.9618

0.0119

Synthetic V

Ohio Soy

h/aug call

57455

10815

0.1882

2.4353

0.0314

Synthetic V

Iowa Soy

h/aug call

78207

31480

0.4025

2.3031

0.0400

Synthetic VI

Iowa Soy

h/sept call

76851

32678

0.4252

1.6269

0.1297

Synthetic VI

Ohio Soy

h/sept call

56396

11482

0.2036

1.7826

0.0999

 

 

 

 

 

 

 

 

Synthetic put with Feb short hedge

 

 

 

 

 

 

Synthetic I

Ohio Soy

h/july call

59200

9981

0.1686

2.4824

0.0288

Synthetic I

Iowa Soy

h/july call

79792

31274

0.3919

2.3714

0.0353

Synthetic II

Ohio Soy

h/aug call

58141

9112

0.1567

2.0055

0.0680

Synthetic II

Iowa Soy

h/aug call

78830

30140

0.3823

1.9373

0.0766

Synthetic III

Ohio Soy

h/sept call

57069

9827

0.1722

1.5421

0.1490

Synthetic III

Iowa Soy

h/sept call

77452

31274

0.4038

1.4302

0.1782

 

 

 

 

 

 

 

 

Naive Cash Marketin Sale

Ohio Soy

18 yrs

55821

17784

0.3186

 

 

 

Iowa Soy

18 yrs

75892

29405

0.3875

 

 

 

Ohio Soy

12 yrs

52680

13391

0.2542

 

 

 

Iowa Soy

12 yrs

72764

31745

0.4363